Utility bills too highElectricity rates continue to remain high despite the fact that the cold winter months are already behind us.

During the polar vortices, energy prices skyrocketed as the country’s power reserves were stretched thing. While it is safe to say that these bouts of cold weather are over, their effects still continue to linger.

If you are on a variable rate electricity plan, this could spell bad news for you and your utility bill. In these types of agreements, the utility bill fluctuates with the wholesale price of electricity. Many customers felt the brunt of these fluctuations during the winter. The Utica Observer-Dispatch reported that the wholesale cost of electricity on the New York Independent System Operator more than tripled between January and February.

The best way to address this issue is to switch to a fixed rate agreement. The advantage of this plan is that is makes it much easier to anticipate monthly energy costs, while at the same time, making you immune to price fluctuations brought about by changes in the wholesale price of power.

Rate hikes may continue

These expensive electricity rates continue to linger. It was noted that NYISO electricity prices were up 30 percent from 2012, meaning that this is not a momentary change in price, but something that is likely to linger in the Empire State.

According to the Energy Information Administration, the electricity rates in New York were 19.52 cents per kilowatt hour in January 2014, up from 18.04 cents per kilowatt a year earlier. This only compounds the fact that New Yorkers already pay among the most expensive rates for electricity in the U.S.

Unfortunately, these rate hikes are not isolated to New York. Pittsburgh Business Times reported that state officials are holding a public hearing to address the exceptionally expensive utility bills that customers in the city experienced over the winter.

“Utility practices are under full review as more attention is focused on the apparent gouging of electric customers on variable-rate plans,” said Peter J. Daley, a state representative, according to the news source.

With summer fast approaching, it is tough to tell whether the increase in temperature could translate into high electricity prices again. During these months, more people are prone to cranking up their air conditioners, which drives up demand for electricity.

If you want to make sure you’re not subject to current or future spikes in energy, make sure to talk with your energy provider about finding a less risky payment plan.

Let us work with you to design a plan